Find a news story

Refine your search here

Back to results

Pubs should not be worse off under new machine duty system, says BBPA


New MGD system announced, with two bands Triennial review of stakes and prizes all the more important, says Brigid Simmonds Meeting on 19th December to discuss triennial review

Pubs must be left no worse off by the new system of Machine Gaming Duty (MGD), the BBPA said today, following the announcement by HMRC that there will only be two rates; the reduced rate applying only to Category ‘D’ machines leaving Category ‘C’ machines in the higher band. No decision has yet been announced on the two rates to be applied, but the new system is due to come into effect in February 2013.

The BBPA says the decision on banding makes it all the more crucial that MGD rates are set at a reasonable and sensible level in the upcoming Budget. The arrival of the new tax system also makes the timing and outcome of the recent announcement of the review of stakes and prizes of amusement machines all the more important. This ‘triennial review’ was therefore the key agenda item at a meeting today of the BBPA Amusement & Entertainments Panel at BBPA headquarters, attended by officials from the DCMS and the Gambling Commission.

Last week the BBPA joined forces with BACTA, BISL, and other associations to write to DCMS taking up the Minister’s offer to consider how the review process could be completed sooner, as DCMs are currently suggesting it could take 18 months. DCMS has invited a number of trade bodies to meet at BBPA headquarters to discuss the options going forward.

Brigid Simmonds comments:

“With category C machines in the higher band, the rate of tax applied will be all the more crucial. The Government must recognise that the rate must not penalise pubs. Our calculations show that the annual cost per pub of implementing the change is around £200. The tax rate must take this into account. There must be no additional net costs as a result of the new system.”


Pubs, Gaming

For further information contact:

Neil Williams
Head of Media
Tel: 020 7627 9156 / 07974 249 779

Just loading our latest tweet...